This invention is generally directed to the use of Radio Frequency Identification (RFID) in various purchase transactions. More specifically, the invention is directed to using RFID to enhance pre-payment of wireless airtime and other services.
A manner known in the art in which to pay for goods and/or services, is for the user to make payments to credit an account in advance. This type of payment is commonly known as “pre-pay.” The process of making a payment and crediting the user's account is commonly known as a “top-up,” which reflects the normal manner of usage in which the user frequently tops up their account by relatively small amounts. Many pre-pay systems allow the user to make payments at a variety of retail establishments, thereby allowing the user to pay for a top-up at a location which is convenient. In addition to wireless telecommunications, such pre-paid accounts are presently used for numerous other goods and services.
It is known in the art to add value to such pre-paid accounts through the use of stored value cards. The insertion of the stored value into a pre-paid account has several steps. First, the user purchases at a retail outlet a stored value card associated with a value. Upon purchase of the stored value card, the card may be activated. Such activation may be accomplished by the retailer or user providing information sufficient to identify the particular stored value card that the user is purchasing to a central processor. Often, this information is provided to a central processor by swiping a magnetic stripe on the stored value card, by scanning a bar code on the stored value card, or by entering account information located on the stored value card.
Second, the user accesses a central processor, e.g., by calling a toll-free number on the back of the card, and requests to add the value associated with the stored value card to the user's prepaid account. The user typically must provides information sufficient to identify the user's account, such as a phone number associated with the account and the name of the account provider. Once the proper authorization is received, and any necessary information is verified, the central processor may then cause the value associated with the stored value card to be added to the user's prepaid account. Several pieces of information must be provided during this transaction, including (1) the amount of payment; (2) confirmation of secure receipt of payment; (3) the number of the mobile phone to which the payment is to be applied; and (4) the wireless carrier with which the mobile phone number is associated.
Presently, this information is provided in a variety of different ways, such as via reading a magnetic stripe, reading a bar code (linear and two-dimensional), manual input, and/or input via Interactive Voice Response (IVR) systems. Combinations of these technologies may also be used.
It can be seen then, that the process of inserting value into pre-paid account using stored value cards is a multi-step process, requiring a user to properly identify the particular stored value card account, add value to this account, properly identify the particular pre-paid service the user wishes to fund, and then transfer value from the stored value card account to the user's pre-paid account. The numerous amounts of transactions are inefficient, and the necessity for user and/or retailer involvement in each of these steps increases the likelihood of errors in the process.
Accordingly, it is desirable to make purchase transactions for products and services more convenient, efficient, and timely.
Radio Frequency Identification (RFID) is known in wireless communication technologies. RFID technology generally comprises a tag and an interrogator, each located remote from each other. RFID tags may also be known as chips or transponders, and RFID interrogators may also be known as readers, transceivers, or decoders. Presently, there are generally three (3) main categories of tags characterized by their power source: passive, semi-passive and active. Passive tags do not have any internal power, and must absorb power from an outsides source in order to transmit data. Semi-passive tags and active tags have internal power sources. Semi-passive tags generally do not transmit their data until the tag is interrogated, while active tags (also known as beacons) may transmit data at periodic intervals.
In general, an RFID interrogator may emit an activation signal, which may be received by the RFID tag. Upon receiving the activation signal, the RFID tag may be activated and may emit data stored on the RFID tag to the RFID interrogator. The RFID interrogator may pass the received data to a host computer, and optionally may send additional information to be stored on the RFID tag.
RFID may reduce or eliminate the need for other data storage systems, such as magnetic stripes or bar codes, and thus reduce or eliminate the difficulties associated with reading such media. RFID may also reduce or eliminate the need for manual input and Interactive Voice Response (IVR) systems. RFID enabled devices are increasingly used at retail outlets to enhance existing payment/purchase processes.
Accordingly, incorporating RFID technology into systems and methods for purchasing products and services, particularly pre-paid products and services may be desirable.